Automated synchronous product pricing and advertising system

ABSTRACT

An automated product pricing system including a physical store system, a virtual store system, and a control system. The physical and virtual store systems are capable of transmitting sales data indicative of the number of sales of identified respective products. The control system is adapted to receive the sales data from the physical store system and the virtual store system. In response thereto, the control system generates price change data including a changed price of an identified product based on the sales data received from at least one of the physical and virtual store systems. The price change data is then transmitted by the control system to at least one of the physical and virtual store systems to thereby change the price of the identified product.

CROSS REFERENCE TO RELATED APPLICATIONS

[0001] The present application is a continuation of U.S. Ser. No.09/487,422, filed on Jan. 20, 2000; which is a continuation of U.S. Ser.No. 09/110,624, filed on Jul. 6, 1998. The entire contents of Ser. Nos.09/487,422 and 09/110,624 are hereby incorporated herein by referencefor all purposes.

STATEMENT REGARDING FEDERALLY SPONSORED RESEARCH OR DEVELOPMENT

[0002] Not applicable.

BACKGROUND OF THE INVENTION

[0003] A number of methods are currently in use for the pricing andadvertising of products. For example, manual placard displays areprovided at locations where the product is shelved at the store topermit consumers to determine the price of the product. The placarddisplays must be manually changed each time that the prices in thecheckout computers are changed so that there is no discrepancy betweenthe prices contained in the checkout computer and the prices shown onthe manual placard displays. However, due to accumulated errors, therecan be a fairly large discrepancy between the prices contained in thecheckout computer and the prices shown on the manual placard displays.This discrepancy is of increasing concern to governmental regulators.

[0004] Electronic pricing systems are also in existence. In the existingelectronic pricing systems, each product carries a bar code. Anelectronic price display which displays the price of the product at alocation where the product is shelved at the stores is provided. Thestore also has a checkout computer and scanner. In such existingelectronic pricing systems, an individual with a hand held unit changesthe product price at the display located where the product is shelved.The changed prices are entered into the hand held unit and the personpositions the hand held unit near the electronic display and presses abutton so that the information is transferred to the electronic displayto display the new price.

[0005] There are also a number of systems available which interconnectlocal store computers to the checkout stations, as well asinterconnecting local store computers to the owner computers. Companies,such as Intactix of Dallas, Tex., are suppliers of such software and thehardware is well-known to those skilled in the art. Methods also existfor connecting a local store computer to an owner computer. However,most of the current product pricing display change methods are manual aspreviously discussed. These methods are time consuming, and requirecostly generation and replacement of the pricing placards at the productstations.

[0006] A number of electronic display technologies are available today,such as liquid crystal displays, light emitting diode displays, flatpanel video displays, audio convertors, etc. which may be utilized asproduct displays at the product station. For example, companies such asPRICER AB of Sweden and others are installing active product price unitswhich can be controlled from the local store computer.

[0007] Since the internet explosion in 1995-96, a number of virtualstore chains, such as Tom Thumb and Kroger have created virtual storeson the internet for home shopping and deliveries. Price synchronizationfor the virtual stores pose different problems from the physical stores.

[0008] With regard to advertising, a number of methods are currently inuse for placing coupons in the hands of consumers. Three of such methodsare:

[0009] 1. Coupons are placed in the advertising section of periodicalsor mailed directly to the consumer's house for later use in stores.

[0010] 2. Books of coupons and coupon dispensing units are madeavailable inside stores for later use during checkout.

[0011] 3. Coupons are generated at the checkout station at theconclusion of the checkout process for later use by the consumer.

[0012] Once the consumer has presented a coupon to a checkout clerk, thecoupons are either entered manually or scanned by automated scanners forcheckout. The coupons must then be saved by the checkout clerk for laterredemption at redemption centers so that the retail establishment canrecover its cost from the product manufacturers which the store has, ineffect, advanced to the consumer. The coupons must then be sorted byproduct and tabulated as to overall cost for various management reasons.The current process for utilizing coupons typically proceeds as follows.The consumer hands a coupon to the checkout clerk. The product code onthe coupon is scanned and the amount of the discount is looked up in thestore computer. If the coupon and the discount amount have been bothentered into the store computer, this amount is deducted from the normalproduct retail price. However, if the coupon has not been entered intothe store computer, the discount amount must be manually entered.

[0013] Then, the coupon is set aside and saved for later sorting byanother clerk. The amounts and product codes are accumulated and thecoupons are later sent to a redemption center where they are againmanually checked before a check or credit is issued to the retail store.

[0014] The current coupon handling methods are very time consuming.

[0015] With the present invention, the pricing of products isaccomplished more efficiently than existing systems, and the manualhandling of coupons at checkout locations is eliminated.

BRIEF DESCRIPTION OF THE SEVERAL VIEWS OF THE DRAWING

[0016]FIG. 1 is a schematic, diagrammatic view of an automatedsynchronous product pricing and advertising system constructed inaccordance with the present invention.

[0017]FIG. 2 is a schematic, diagrammatic view of a physical storesystem constructed in accordance with the present invention.

[0018]FIG. 3 is a schematic, diagrammatic view of a product pricing unitutilized in the physical store system depicted in FIG. 2.

[0019]FIG. 4 is a schematic, diagrammatic view of a product checkoutstation utilized in the physical store system depicted in FIG. 2.

[0020]FIG. 5 is a schematic, diagrammatic view of a store productadvertising media unit constructed in accordance with the presentinvention.

[0021]FIG. 6 is a schematic, diagrammatic view of an owner controlsystem constructed in accordance with the present invention.

[0022]FIG. 7 is an elevational view of a display screen of a virtualstore system constructed in accordance with the present invention.

DETAILED DESCRIPTION OF THE INVENTION

[0023] Referring now to the drawings, and more particularly to FIG. 1,shown therein is an automated synchronous product pricing andadvertising system 10 constructed in accordance with the presentinvention. Broadly, the automated synchronous product pricing andadvertising system 10 includes an owner control system 12, a pluralityof physical store systems 14, a plurality of product supplier systems16, at least one virtual store system 18 and a competition pricinginformation system 20. Only two of the physical store systems 14, andproduct supplier systems 16 are shown in FIG. 1 for purposes of clarity.The respective physical store systems are designated in FIG. 1 by thegeneral reference numerals 14 a and 14 b. The respective productsupplier systems are designated in FIG. 1 by the general referencenumerals 16 a and 16 b.

[0024] The owner control system 12 is adapted to communicate with thephysical store systems 14 a and 14 b via respective signal paths 24 aand 24 b. The owner control system 12 also communicates with the productsupplier systems 16 a and 16 b via respective signal paths 26 a and 26b, the virtual store system 18 via a signal path 28 and the competitionpricing information system 20 via a signal path 30.

[0025] It is envisioned that the physical store systems 14 be located inestablishments having product locations, such as shelves, boxes, slots,areas, or the like for storage and/or sale of products. For example, theestablishments in which the physical store systems 14 are located can beretail supermarkets, drug stores, home building supply stores, inventorystocking areas or assembly sites at manufacturing or distributionfacilities.

[0026] It is envisioned that the product supplier systems 16 be locatedat establishments which serve to supply products to the stores where thephysical store systems 14 are located or to a warehouse for distributionafter an order is received by the virtual store system 18.

[0027] The competition pricing information system 20 can include aprogram for obtaining information from an internet search engine, suchas YAHOO or EXCITE which look for the prices at which predeterminedcompetitors are selling the same or similar products.

[0028] Signal paths 24, 26, 28 and 30 can be airway and/or cablecommunication links or any other suitable communication link.

[0029] The owner control system 12 is constructed to receive sales andinventory data from the physical store systems 14, and the virtual storesystem 18. The owner control system 12 is also constructed to receivepricing and advertising data from the product supplier systems 16 viathe signal paths 26 a and 26 b, and competition price data from thecompetition pricing information system 20 via the signal path 30. Aswill be described in more detail hereinbelow, the owner control system12 utilizes the sales and inventory data provided by the physical storesystems 14, and the virtual store system 18, the pricing and advertisingdata provided by the product supplier systems 16, and the competitionprice data provided by the competition pricing information system 20 toautomatically change product prices at the physical store systems 14 andthe virtual store system 18, to automatically provide in-storeadvertising data within the physical store systems 14 and/or the virtualstore system 18, and to automatically order products from the productsuppliers associated with the product supplier systems 16.

[0030] Referring now to FIG. 2, shown therein in more detail is thephysical store system 14 a. Because the physical store systems 14 a and14 b are substantially identical in construction and function, only thephysical store system 14 a will be described in detail herein.

[0031] The physical store system 14 a, in general, is constructed todisplay a product location price indicating the unit price of a producton at least one of a plurality of product pricing units 40, to requestfrom a shopper a product checkout price for the purchase of the productby at least one of a plurality of store checkout stations 42, toselectively print coupons, transmit video and/or audio advertisingmessages including the product checkout price on a store productadvertising media unit 44, and to dynamically change the displayedproduct location prices, the requested product checkout prices, thecoupons and the advertising messages in real time based on predeterminedcriteria thereby substantially eliminating consumer confusion andyielding the maximum economic benefit for the physical store by a storeproduct control system 46.

[0032] The individual products (not shown) in the store are stamped witha machine readable code, such as the UPC (universal product code) barcode. Each of the product pricing units 40 are located proximate to oneof the individual products and has a unique electronic addressidentifying the particular product. The unique electronic address can bethe universal product code.

[0033] The store product control system 46 includes a store systemcomputer 50. The store system computer 50 has stored thereon the uniqueelectronic addresses for the respective product pricing units 40. Aproduct location price associated with each of the unique electronicaddresses is stored in the store system computer 50. The productlocation price is indicative of the unit price of a single product.

[0034] The store system computer 50 is constructed to transmit theunique electronic addresses and the product location prices associatedtherewith (“electronic address and product location price data”) to atransmitter unit 52 via a signal path 54. In response to receiving theelectronic address and product location price data from the store systemcomputer 50, the transmitter unit 52 transmits such electronic addressand product location price data to the respective product pricing units40 a and 40 b via signal paths 56 a and 56 b. The signal paths 56 a and56 b can be hard wiring (copper wiring, fiber optics, coaxial cable, orthe like), RF wireless (microwave, low frequency, satellite, or thelike) and/or optical (laser, infrared, or the like).

[0035] Referring now to FIG. 2, in combination with FIG. 3, theelectronic address and product location price data is received by aproduct decoder unit 58 included in each of the product pricing units40. It should be understood that each of the product pricing units 40 aand 40 b are substantially identical in construction and function, andthat only the product pricing unit 40 a is shown in FIG. 3 for purposesof clarity. The product decoder unit 58 can be a 2.4 GHz spread spectrumRF receiver unit. The product decoder unit 58 has an electronic addressstored therein. Upon receipt of the electronic address and productlocation price data from the store product control system 46, theproduct decoder unit 58 compares the received electronic address withthat stored in the product decoder unit 58. When a match is found, theproduct location price data associated with the electronic address issent to a product price display unit 60 via a signal path 62.

[0036] Upon receipt of the product location price data from the productdecoder unit 58, the product price display unit 60 transmits and/ordisplays the product location price indicative of the unit price of aproduct disposed adjacent the particular product pricing unit 40 in aformat perceivable by a shopper when the shopper is selecting theproduct for purchase. The product price display unit 60 can be a liquidcrystal display, or a LED display, for example. The product locationprice transmitted or displayed by the product price display unit 60remains until a new product location price for the particular productlocated adjacent the product pricing unit 40 is received by the productdecoder unit 58. In practice, it is contemplated that to overcomeinadvertent mistakes, all the electronic address and product locationprice data will be transmitted periodically from the store productcontrol system 46 to the product pricing units 40 even though there mayhave not been any price changes.

[0037] In addition, it should be noted that the store product controlsystem 46 has the ability to transmit, and the product pricing units 40have the ability to receive a special code which changes both theelectronic address for the particular product pricing units 40 and/or aprice associated with the new electronic address. In this manner, theparticular product pricing units 40 become universal.

[0038] The store checkout stations 42 a and 42 b are substantiallyidentical in construction and function. For purposes of clarity, onlythe store checkout station 42 a will be described in detail herein.

[0039] Referring now to FIG. 2 in combination with FIG. 4, the storecheckout station 42 a is shown in more detail. The store checkoutstation 42 a includes a checkout computer unit 66. The checkout computerunit 66 has stored therein a product price table which includes a uniquecode for each of the products available for sale in the store, and aproduct checkout price associated with the unique code. The unique codefor each of the products available for sale in the store can be the UPC(universal product code) code. The product checkout price stored in thecheckout computer unit 66 and associated with a single unique code isthe price requested from a shopper for the purchase of the product.

[0040] The store checkout station 42 a is also provided with a productscanner unit 68, an ATM unit 70, a product price display unit 72 and anSPCS interface unit 74. In use, the store system computer 50 outputsproduct checkout price data to a communication unit 76 via a signal path78. The communication unit 76 outputs the received product checkoutpricing data to the store checkout stations 42 a and 42 b via signalpaths 80 a and 80 b.

[0041] As best shown in FIG. 4, the SPCS interface unit 74 receives thetransmitted product checkout price data from the communication unit 76.In response thereto, the SPCS interface unit 74 transmits the receivedproduct checkout price data to the checkout computer unit 66 via asignal path 82. In response to receiving the product checkout pricedata, the checkout computer unit 66 is constructed to build or updatethe product price table stored in the checkout computer unit 66.

[0042] In use, the shopper selects at least one product for purchase andperceives the product location price displayed by the product pricedisplay unit 60 of the product pricing unit 40 a, for example. Theshopper transports the products to the store checkout station 42 a, forexample. The UPC code on the product is scanned by the product scannerunit 68 and is thereby input into the checkout computer unit 66 via asignal path 84. The checkout computer unit 66 looks up the productcheckout price stored in the product price table by the UPC or uniquecode identifying the particular product. The checkout computer unit 66then outputs the product checkout price for the particular product tothe product price display unit 72 via a signal path 86 so that theproduct checkout price for the particular product is perceivable by theshopper. The product checkout price stored in the product price tabledoes not exceed the respective product location price perceivable by theshopper when the shopper was selecting the product for purchase, as willbe explained in more detail hereinafter. In any event, once the productwhich the shopper is purchasing is scanned via the product scanner unit68, the product checkout price is requested from the shopper forpayment. The shopper can pay for the product in any suitable manner,such as by entering their credit card number into the checkout computerunit 66 via an input 88. The shopper's credit card number is thentransmitted to a credit card source company for automated payment creditverification via the ATM unit 70 and signal paths 90 and 92.

[0043] The UPC or unique code identifying each product purchased isbatched in the checkout computer unit 66 until the shopper's transactionis complete. At that time, the UPC or unique code data is transmitted tothe store system computer 50 via the signal paths 78, 80 a, and 82 sothat the store system computer 50 can keep track of the store'sinventory.

Store Product Advertising Media Unit 44

[0044] The store system computer 50 selectively outputs productadvertising data including the unique codes identifying selectedproducts within the store, and a product advertising price indicating anadvertised price of the product associated with the unique code to afirst modem unit 96 via a signal path 98. The first modem unit 96receives the product advertising data, and in response thereto the firstmodem unit 96 outputs such product advertising data to the store productadvertising media unit 44 via a signal path 100.

[0045] It should be noted that the product advertising data can eitherbe generated by the store system computer 50, and/or can be received bythe store system computer 50 from the owner control system 12 via thesignal path 24 a, a second modem unit 102, and a signal path 104. Thestore system computer 50 and/or the owner control system 12 areprogrammed so that upon the detection of an increased supply ordecreased demand for a product or products, the product advertising datais automatically generated and transmitted to the store productadvertising media unit 44 to increased the demand for a selected productor products.

[0046] Referring now to FIG. 2 in combination with FIG. 5, the storeproduct advertising media unit 44 is shown in more detail. The productadvertising data transmitted from the first modem unit 96 is received byan advertising computer 110. The advertising computer 110 is loaded withsoftware to cause the advertising computer 110 to selectivelycommunicate with a store print advertising unit 112 via a signal path114, a store video advertising unit 116 via a signal path 118, and astore audio advertising unit 120 via a signal path 122 to selectivelymake coupons available for printing, to transmit video messages andaudio messages identifying products and product advertising pricesindicative of the price to be charged for such products. Only one storeprint advertising unit 112, store video advertising unit 116 and storeaudio advertising unit 120 are shown in FIG. 5 for purposes of clarity.It should be understood that the store product advertising media unit 44can include a plurality of store print advertising units 112, storevideo advertising units 116 and store audio advertising units 120. Thestore print advertising units 112, store video advertising units 116 andstore audio advertising units 120 can be located proximate to respectiveindividual products to provide the product advertising data (throughcoupons, video and/or audio messages) independently for each individualproduct, or can be located in a centralized location or locations withinthe store to provide product advertising data for more than one productat each store print advertising unit 112, store video advertising unit116 and store audio advertising unit 120.

[0047] The store print advertising unit 112 may include an associatedvideo screen and keypad (not shown) to permit shoppers to browse andselect coupons to print. Upon demand, the store print advertising unit112 prints a set of coupons (or at least one coupon) with each couponidentifying a predetermined price reduction for an identified product orservice and also includes other information such as store location,appropriate graphics, colors, and/or a product bar code for checkout andexpiration date. The coupons generated by the store print advertisingunit 112 are given by the shopper to a checkout clerk associated withone of the store checkout stations 42 when the shopper is ready to payprior to leaving the store. The coupons are scanned by the productscanner unit 68 at the store checkout stations 42 to provide coupondata. The store checkout stations 42 transmit the coupon data receivedfrom the coupon, such as the identified product to the store systemcomputer 50 via the signal paths 78 and 80. The store system computer 50looks up the discount associated with the product bar code and transmitsthis discount to the particular one of the store checkout stations 42from which the coupon was scanned for inclusion on the shopper's printedreceipt.

[0048] If the coupon presented to the checkout clerk was not printed bythe store print advertising unit 112, and product bar code identifyingthe coupon is not in storage, the store system computer 50 sends amessage to the store checkout station 42 where the particular coupon wasscanned and the clerk at the particular store checkout station 42 thenmanually enters the product number and discount. The store systemcomputer 50 also checks to make sure that the product identified on thecoupon has been scanned via the product scanner unit 68 beforeauthorizing the checkout computer unit 66 at the store checkout stations42 to deduct the discount amount from the requested product checkoutprice.

[0049] The coupon data, including the product code information, receivedfrom the store checkout stations 42 from the scanning of coupons isstored in the store system computer 50. Periodically, the store systemcomputer 50 accumulates all of the coupon data which has been enteredinto the store system computer 50 and then sorts such coupon data bymanufacturer, tabulates the discount amount by manufacturer and thensends all of the sorted and totalled coupon data to a printer 124 togenerate a physical copy of the coupons and the sorted and accumulatedtotal, if required by a redemption center. Because the coupon data issorted, accumulated and printed, the physical coupons which were scannedby the product scanner unit 68 of the store checkout stations 42 can bediscarded at the respective store checkout stations 42.

Store System Computer 50

[0050] As mentioned previously, the store system computer 50 receivesunique code data identifying purchased products from the store checkoutstations 42 via the signal paths 78 and 80. In response thereto, thestore system computer 50 can change the prices in the store based onpredetermined price change algorithms. The predetermined price changealgorithms utilized to change the store prices can be either managerselectable or selectable via the owner control system 12.

[0051] One of the price change algorithms which the store systemcomputer 50 has stored thereon is a program to detect the rate ofpurchase for each product and compare such rate with a predeterminedlimit. If the rate of purchase of the product exceeds the predeterminedlimit, the price of the product is increased automatically by apredetermined amount. If the rate of purchase of the product is belowthe predetermined limit, the price of the product is decreasedautomatically by a predetermined amount to stimulate demand.

[0052] Another price change algorithm which is stored on the storesystem computer 50 is a program to detect the amount of productremaining in inventory, or on the shelf. If the amount of product lefton the shelf falls below a predetermined limit, then the store systemcomputer 50 outputs a special signal such as a flashing screen or aprintout on a special printer to notify the managers that the number ofproducts on the shelf needs to be increased. Alternatively, or inaddition, the store system computer 50 can automatically increase by apredetermined amount the price of the product based on the reducedsupply of product on the shelf or in inventory.

[0053] The store system computer 50 can also have other predeterminedprice change algorithms thereon such as price change algorithms toautomatically change prices to match competitor pricing specials, toreflect purchasing specials and/or to achieve end of the month salesprojections.

[0054] When a product price change is made or received by the storesystem computer 50, it is important that the price change be implementedin a manner such that the product checkout price requested from theshopper for the purchase of the product at one of the store checkoutstations 42 not exceed the product location price displayed by theproduct pricing unit 40 located proximate to the product so as to reduceconsumer irritation with price discrepancies. As will be describedhereinafter, the store system computer 50 is programmed to selectivelychange the product checkout price and product location price in threemodes.

[0055] In the first mode, as shown in FIG. 2 the physical store systems14 include a store time-stamp unit 126. Each of the physical storesystems 14 can be provided with a single store time-stamp unit 126provided near the entrance of the store, for example, and/or a pluralityof store time-stamp units 126 provided adjacent respective productpricing units 40. The store time-stamp unit 126 communicates with thestore system computer 50 via a signal path 128.

[0056] Each of the shoppers can be provided with some type oftime-stampable media capable of communicating with the store time-stampunit 126, such as a smart card, or a barcoded ticket. The storetime-stamp unit 126 records, on the time-stampable media, a time stampdata indicative of the time at which the shopper was located adjacentthe store time-stamp unit 126 to give an indication of the time at whichthe shopper perceived the product location price when the shopper wasselecting the product for purchase.

[0057] When the store time-stamp unit 126 is provided adjacent theentrance of the store, each of the shoppers provides theirtime-stampable media to the store time-stamp unit 126 to record the timeat which the shopper entered the store. When a plurality of storetime-stamp units 126 are provided adjacent to the respective productpricing units 40, the shopper provides their time-stampable media to thestore time-stamp unit 126 to record the approximate time at which theshopper selected the product for purchase.

[0058] For example, one embodiment of the present invention operates asfollows. The store system computer 50 outputs a first product locationprice indicative of the unit price of a product to the product pricingunits 40 via the signal paths 54 and 56. The product pricing units 40receive the first product location price and display the first productlocation price on the product price display unit 60 such that the firstproduct location price is perceivable by a first shopper when the firstshopper is selecting the product for purchase. The store system computer50, utilizing at least one of the price change algorithms, automaticallychanges the first product location price to a second product locationprice following the first shopper selecting the product for purchase andpossibly while the first shopper is still in the store shopping. Thesecond product location price is then transmitted to the product pricingunits 40 via the signal paths 54 and 56 to be displayed on the productprice display unit 60. The second product location price is differentthan the first product location price and is perceivable by a secondshopper when the second shopper is selecting the product for purchase.The first shopper then proceeds to one of the store checkout stations 42to pay for the product which the first shopper has selected. The firstshopper provides the time-stamp media to the checkout clerk who entersthe time information stored on the time-stamp media into the checkoutcomputer unit 66. The UPC code on the product is scanned by the productscanner unit 68 and is thereby input into the checkout computer unit 66.The checkout computer unit 66 then transmits the product identificationdata (UPC code) and the time-stamp data to the store system computer 50via the signal paths 78 and 80. The store system computer 50 receivesthe time-stamp data and the product identification data and determineswhether the price of the product reflected in the product identificationdata was changed after the time reflected in the time-stamp data. If theproduct location price has been changed after the time identified in thetime-stamp data, the store system computer 50 transmits a signal to thecheckout computer unit 66 via the signal paths 78 and 80 to request fromthe first shopper a first product checkout price not exceeding the firstproduct location price perceivable by the shopper when the shopper wasselecting the product for purchase.

[0059] That is, if the price of the product was increased after thefirst shopper entered the store or selected the product for purchase(depending on whether the store time-stamp unit 126 was located at thestore's entrance or adjacent to one of the product pricing units 40) andhad his time-stamp media time-stamped by the store time-stamp unit 126,the first product checkout price will reflect the price of the productbefore the product location price was increased. However, if the priceof the product has been decreased after the first shopper had histime-stamp media time stamped by the store time-stamp unit 126, thefirst product checkout price will be the decreased price.

[0060] In the same manner, the physical store system 14 requests fromthe second shopper a second product checkout price for the purchase ofthe product, with the second product checkout price not exceeding thesecond product location price perceivable by the second shopper when thesecond shopper was selecting the product for purchase.

[0061] In the second and third modes of operation, the store time-stampunit 126 is not utilized to assure that the product checkout price of aproduct does not exceed the product location price of the product aftera change in the price of the product has been made.

[0062] In the second mode of operation, the product checkout pricerequested from the shopper at one of the store checkout stations 42 forthe purchase of a product is changed by the store system computer 50 apredetermined time later than the product location price displayed bythe product pricing unit 40 located proximate to the product is changedby the store system computer 50. By changing the product checkout pricea predetermined time, such as one hour, later than the product locationprice, this substantially increases the probability that shoppers willnot be charged a price at one of the store checkout stations 42 which isgreater than the product location price displayed by the respectiveproduct pricing unit 40 when the shopper selected the product forpurchase.

[0063] In a third mode of the present invention, the product locationprice and the product checkout price are changed simultaneously by thestore system computer 50 when the price of the product is decreased, andthe product checkout price is changed a predetermined time later thanthe product location price by the store system computer 50 when theprice of the product is increased.

[0064] When a product checkout price of a product is decreased, thedecreased price can be transmitted to the store product advertisingmedia unit 44 (as discussed above) to notify shoppers of the pricereduction via audio or video. Thus, the store system computer 50automatically changes both the product checkout price and the productadvertised price simultaneously.

Owner Control System 12

[0065] Referring now to FIG. 1 in combination with FIG. 6, the ownercontrol system 12 is shown in more detail. The owner control system 12includes an owner control system computer 132 and a modem 134. The ownercontrol system computer 132 communicates with the modem 134 via a signalpath 136. The owner control system computer 132 can be a Packard BellPlatinum 2010, for example. The owner control system computer 132 canconnect automatically to each of the physical store systems 14 via thesignal paths 24 a and 24 b, the product supplier systems 16 a and 16 bvia the signal paths 26 a and 26 b, the competition pricing informationsystem 20 via the signal path 30, and the virtual store system 18 viathe signal path 28.

[0066] It should be noted that the logic executed by the owner controlsystem computer 132 can be incorporated into the store system computer50 if desired, and/or if the owner only has one physical store. If thelogic executed by the owner control system computer 132 is incorporatedinto the store system computer 50, the owner control system computer 132can be eliminated.

[0067] The owner control system computer 132 includes a plurality ofpredetermined price change algorithms to send price change codes,including changed prices, and/or price change criteria or instructions,to the physical store systems 14 or the virtual store system 18 based onthe competition price data received from the competition pricinginformation system 20, the pricing and advertising information receivedfrom the product supplier systems 16 a and 16 b, the sales and inventorydata received from the physical store systems 14 and/or the virtualstore system 18, and combinations thereof.

[0068] In other words, the owner control system computer 132 is adaptedto transmit the price change codes to the physical store systems 14 aand 14 b and/or the virtual store system 18 to: (1) change the prices atthe physical store systems 14 a and 14 b, and/or the virtual storesystem 18; and/or (2) select one or more of the price change algorithmsstored on the physical store systems 14 a and 14 b and/or the virtualstore system 18 to be used thereby in changing the product location andproduct checkout prices. Different price change codes can be transmittedindependently to each of the physical store systems 14, and/or thevirtual store system 18 so that the price changes at the physical storesystems 14 and/or the virtual store system 18 can be individualized tomeet the local supply and/or demand, for example.

[0069] For example, the pricing and advertising data received from theproduct supplier system 16 a by the owner control system 12 may indicatethat a particular product is in short supply. Such pricing andadvertising data is then analyzed by at least one of the algorithmsstored in the owner control system 12 and a determination may be made toraise the price of the particular product. The owner control system 12then outputs a price change code to the physical store systems 14 and/orvirtual store system 18 to raise the price of the particular product.

[0070] As another example, the competition price data received from thecompetition pricing information system 20 by the owner control system 12may indicate that a competitor's price on a first product is lower thanthe price of the first product in the physical store systems 14 and/orthe virtual store system 18. Such competition price data is thenanalyzed by at least one of the algorithms stored in the owner controlsystem 12 and a determination may be made to lower the price of theparticular product. The owner control system 12 then outputs a pricechange code to the physical store systems 14 and/or the virtual storesystem 18 to lower the price of the particular product. The price changecode lowering the price of the particular product can also includeinstructions to cause the store system computer 50, for example, tooutput product advertising data to the store product advertising mediaunit 44 to provide advertising messages, such as coupons, video messagesand/or audio messages to accompany the lowering of the price of theproduct and to thereby notify shoppers of the lowering of the price ofthe product.

[0071] The owner control system 12 receives sales and inventory datafrom the physical store systems 14 and/or the virtual store system 18.The sales and inventory data is indicative of product purchases, rate ofproduct purchases and the remaining inventory at the physical storesystems 14 and/or the virtual store system 18. Based on the sales andinventory data, the owner control system 12 is programmed toautomatically output order data to order products from the productsuppliers associated with the product supplier systems 16. The orderdata can be individualized for each of the physical store systems 14and/or the virtual store system 18 so that the ordered products areshipped from the suppliers to the correct locations.

Virtual Store System 18

[0072] Referring now to FIG. 7, shown therein is a display screen 140illustrating the virtual store system 18 as perceived by a shopper. Itshould be noted that the virtual store system 18 and the physical storesystems 14 operate identically except as set forth hereinafter. Thedisplay screen 140 of the virtual store system 18 is perceivable by theshopper as the shopper is browsing the internet, for example. Displayedon the display screen 140 is at least one product 142, and a productpricing unit 144 displaying the product location price of the particularproduct 142. Also displayed on the display screen 140 is a store productadvertising media unit 146 which operates identically as the storeproduct advertising media unit 44, hereinbefore described with referenceto FIG. 2. Various buttons, such as a browse button 148 and an orderbutton 150 are also included on the display screen 140.

[0073] In use, the shopper logs on to the virtual store system 18 andthe virtual store system 18 stores a time-stamp indicative of the timethat the shopper logged on. The shopper then selects the browse button148 to browse between different products 142. As the shopper browsesthrough the different screens of products 142, the product locationprice is displayed on the product pricing unit 144, and any advertisingspecials related to the particular displayed product 142 or otherproducts are transmitted via video and/or audio transmissions by thestore product advertising media unit 146 to be perceived by the shopper.As the shopper is browsing through the different screens of products142, the virtual store system 18 can store a time-stamp indicative ofwhen the shopper first perceived the screen for each individual product142 which was browsed.

[0074] The virtual store system 18 utilizes either the time-stamprecorded when the shopper logs on, or the time-stamp recorded when theshopper views the screens of the individual products 142 to set aproduct order price based on the time-stamp in the same manner as theproduct checkout price is determined by the physical store systems 14,as hereinbefore described with reference to FIG. 2. Once the shopperdecides to order one of the products 142, the shopper presses the orderbutton 150 and the product location price displayed on the productpricing unit 144 is locked in as the product order price.

[0075] Thus, it can be seen that the automated synchronous productpricing and advertising system 10 operates to more efficiently controlthe prices, and inventory of one or more physical, and or virtual storelocations. Government regulations that prices on shelves (productlocation prices) do not exceed product checkout/order prices aresatisfied, and consumer irritation with such price discrepancies isvastly reduced. Labor costs and error costs of manual placard generationand replacement at the product locations are eliminated. Automatedmanagement of text, audio and video at the product stations to achieveimprovement in media marketing can be implemented and store wideadvertising can become a practical matter. In addition, dynamicadvertising is possible (e.g. two for one sale or price discount until5:00 p.m.). The store specials can be accompanied with audio, video andprinted materials such as coupons via the store product advertisingmedia unit 44. In addition, dynamic pricing is possible. As discussedbefore some of the real time economically viable possibilities are:

[0076] 1. Price increases or decreases depending on station inventoryand on predetermined rate of purchase criteria;

[0077] 2. Price changes to match competitors pricing specials; and

[0078] 3. Price decreases to reflect purchasing specials, andheadquarter specials to achieve end of the month sales projections.

[0079] The store product advertising media unit 44, and the automaticchanging of prices via the owner control system 12, and/or the storesystem computer 50 can be implemented at a lower cost as compared to themanual generation of placard displays. The problems associated with timeconsuming checkout of coupons, and the redeeming of coupons is greatlysimplified by the printing, sorting and accumulating of such coupons bythe store system computer 50.

[0080] Changes may be made in the construction and the operation of thevarious components, elements and assemblies described herein and changesmay be made in the steps or the sequence of steps of the methodsdescribed herein, without departing from the spirit and scope of theinvention as defined in the following claims.

What is claimed is:
 1. An automated product pricing system, comprising:a plurality of store systems, each of the store systems comprising: aproduct pricing unit constructed to display a product location priceindicating the unit price of a first product; means for requesting froma shopper a product checkout/order price for the purchase of the firstproduct; a store system computer constructed to communicate with theproduct pricing unit and the means for requesting so as to automaticallychange the product location price and the product checkout/order price;a competition pricing information system outputting competition pricingdata indicative of the price at which at least one predeterminedcompetitor requests from a shopper for the purchase of the firstproduct; a control system computer adapted to receive the competitionpricing data from the competition pricing information system and toautomatically determine, with at least one price change algorithm, andoutput a price change code to the store system computer.
 2. A method forthe automated pricing of a product, comprising the steps of: displayinga first product location price indicative of the unit price of a productsuch that the first product location price is perceivable by a firstshopper when the first shopper is selecting the product for purchase;electronically changing the first product location price to a secondproduct location price following the first shopper selecting the productfor purchase, the second product location price being different than thefirst product location price, the second product location price beingperceivable by a second shopper when the second shopper is selecting theproduct for purchase; and requesting from the first shopper a firstproduct checkout/order price for the purchase of the product and fromthe second shopper a second product checkout/order price for thepurchase of the product, the first and second product checkout/orderprices not exceeding the respective first and second product locationprices perceivable by the first and second shoppers when the first andsecond shoppers were selecting the product for purchase.
 3. A method asdefined in claim 2, further comprising the step of changing the firstproduct checkout/order price to the second product checkout/order pricea predetermined time later than when the first product location price ischanged to the second product location price.
 4. A method as defined inclaim 3, further comprising the step of: selectively outputting at leastone advertising message in a format perceivable by the second shopper,the advertising message identifying the product and including a productadvertised price which is identical to the second product checkout/orderprice.
 5. A method as defined in claim 4, wherein the step ofelectronically changing the first product location price to a secondproduct location price includes the step of storing the first productcheckout/order price and also includes the step of changing the firstproduct checkout/order price to the second product checkout/order price,and wherein the step of selectively outputting at least one advertisingmessage is further defined as outputting the advertising message aboutsimultaneously with the changing of the first product checkout/orderprice to the second product checkout/order price when the second productcheckout/order price is less than the first product checkout/orderprice.
 6. A method as defined in claim 2, wherein the step ofelectronically changing the first product location price to a secondproduct location price includes the steps of: receiving data selectedfrom the group consisting of competition price data, pricing andadvertising information, sales and inventory data, and combinationsthereof; and changing the first product location price to the secondproduct location price based on the received data.
 7. A method asdefined in claim 2, further comprising the step of: recording a timestamp data indicative of the time at which the first and second productlocation prices were likely perceivable by the first and secondrespective shoppers to determine the first product checkout/order pricerequested from the first shopper and the second product checkout/orderprice requested from the second shopper.
 8. A method as defined in claim7, wherein the step of recording a time stamp data is further defined asrecording the time at which the first and second shoppers entered thestore.
 9. A method for the automated pricing of a product, comprisingthe steps of: providing a plurality of store systems, each of the storesystems comprising: a store product advertising media unit constructedto selectively output at least one advertising message in a formatperceivable by a shopper, the advertising message identifying a productand including at least one of a price and a price discount for thepurchase of the product; and providing a control system computer adaptedto selectively communicate advertising price change codes indicative ofdifferent advertised prices for the same product to the store productadvertising media unit of respective store systems whereby theadvertising message at the store systems for the product are capable ofbeing individualized at each store system.
 10. A method as defined inclaim 9, wherein the method further comprises the steps of: selectingcoupons from the store product advertising media unit from a pluralityof predetermined coupons; printing the selected coupons.
 11. A method asdefined in claim 9, further comprising the steps of: providing a storecheckout station adapted to receive coupon data from physical couponsand to transmit the coupon data; providing a store system computeradapted to receive the coupon data and to print coupons from the coupondata whereby the physical coupons at the store checkout station can bediscarded.
 12. A method as defined in claim 10, further comprising thestep of: transmitting audio advertising messages via the store productadvertising media unit.
 13. A method as defined in claim 10, furthercomprising the step of: transmitting video advertising messages via thestore product advertising media unit.
 14. A method for the automatedpricing of a product, comprising the steps of: providing a plurality ofstore systems, each of the store systems comprising: a product pricingunit constructed to display a product location price indicating the unitprice of a first product; means for requesting from a shopper a productcheckout/order price for the purchase of the first product; a storesystem computer constructed to communicate with the product pricing unitand the means for requesting so as to automatically change the productlocation price and the product checkout/order price; providing acompetition pricing information system adapted to output competitionpricing data indicative of the price at which at least one predeterminedcompetitor requests from a shopper for the purchase of the firstproduct; providing a control system computer adapted to receive thecompetition pricing data from the competition pricing information systemand to automatically output a price change code to the store systemcomputer.